As used in this article, "project" includes the erection,
construction, alteration, repair, or improvement of any University of
California structure, building, road, or other improvement that will
exceed in cost, including labor and materials, a total of fifty
thousand dollars ($50,000).

It is the intent of the Legislature to facilitate the
participation of small businesses, particularly small disadvantaged
or minority business enterprises, women business enterprises, and
disabled veteran business enterprises, in business contracting with
the University of California. The Legislature intends that the
Regents of the University of California adopt policies and procedures
to ensure that a fair proportion of university contracts be placed
with small business enterprises, particularly small disadvantaged,
women, and disabled veteran business enterprises, in areas of
commodity purchases, services, and construction contracts. It is
further the intent of the Legislature that the regents adopt, by
January 1, 1985, with respect to small business enterprises,
particularly small disadvantaged and women business enterprises, and
by January 1, 1992, with respect to disabled veteran business
enterprises, policies and procedures that include, but are not
limited to, all of the following:
(a) Annual targets for utilization of small businesses,
particularly disadvantaged business enterprises, women business
enterprises, and disabled veteran business enterprises, including
subcontracts for construction.
(b) Annual statistical reports on the participation of small
businesses, particularly disadvantaged business enterprises, women
business enterprises, and disabled veteran business enterprises, as
general contractors and subcontractors in each project.
(c) Outreach programs.
(d) Directories of disadvantaged business enterprises, women
business enterprises, and disabled veteran business enterprises.
(e) Monitoring by the regents of progress with respect to the
utilization of disadvantaged business enterprises, women business
enterprises, and disabled veteran business enterprises.
It is also the intent of the Legislature that the Regents of the
University of California report annually to the Legislature, on or
before each July 1, on the participation of small disadvantaged
business enterprises, women business enterprises, and disabled
veteran business enterprises in university business contracting.

Except as otherwise provided in this article, the Regents of
the University of California shall let any contract for a project to
the lowest responsible bidder or else reject all bids. However, if
one or more of the bids is substantially equal to the lowest bid, and
at least one of those bidders is a disadvantaged business
enterprise, a women business enterprise, or a disabled veteran
business enterprise, the regents may award the contract in accordance
with the policies and procedures adopted pursuant to Section
10500.5. If the regents deem it to be for the best interest of the
university, the regents may, on the refusal or failure of the
successful bidder for a project to execute a tendered contract, award
it to the second lowest responsible bidder. If the second lowest
bidder fails or refuses to execute the contract, the regents may
likewise award it to the third lowest responsible bidder.

The Regents of the University of California shall give
public notice of a project to bidders by publication twice within the
60-day period preceding the day set for the receiving of bids as
follows:
(a) Either in one newspaper of general circulation published in
the county in which the major portion of the project is located and
in one such trade paper circulated in the county in which the major
portion of the work is to be done or electronically on the Internet
Web site of the university.
(b) The notices shall state the time and place for the receiving
and opening of sealed bids, describe in general terms the work to be
done, and describe the bidding mode by which the lowest responsible
bidder will be selected.

Before entering into any contract for a project, the Regents
of the University of California shall cause to be prepared estimates
and either:
(a) Complete plans and specifications setting forth such
directions as will enable a competent mechanic or other builder to
carry them out.
(b) Documents for the solicitation of bids on a design-and-build
basis, including: (1) a program setting forth the scope of the
project, the size, type, and desired design character of the
buildings and the site, (2) a set of performance specifications
covering the quality of materials, equipment, and workmanship, (3) a
maximum acceptance cost, and (4) a method and grading system for
evaluating contractor proposals on the basis of a preliminary design,
outline specifications, a price, and the financial condition and
relevant experience of the contractor and the contractor's architect.
(c) Documents for the solicitation of bids for construction
manager mode of contracting including prequalification standards,
schematic plans, and outline specifications indicating the general
scope of the project and the designation of those fees and other
fixed commitments upon which prequalified contractors will be invited
to submit competitive bids which will serve as the basis for
selection.
(d) Documents for the solicitation of bids on a cost-plus fee mode
of contracting, including prequalification standards, outline
specifications, and schematic drawings generally describing the scope
of the work, a definition of reimbursable and nonreimbursable costs,
and the designation of fees and other fixed costs upon which
prequalified contractors will be invited to submit quotations which
will provide the basis for selection.
(e) Documents for the solicitation of bids under such other
contracting mode as the regents determine to be in the best interest
of the university, provided that such proposals be compared on a
uniform basis and that award be made as determined by the published
selection standards.

Except as otherwise provided in Section 10504.5 or 10506,
work on all projects shall be performed under contract awarded in
accordance with Section 10501, except that it may be done on a time
and materials basis, by contract upon informal bids, by University of
California employees, by day labor under the direction of the
regents, or by a combination thereof, in case of emergency due to an
act of God, earthquake, flood, storm, fire, landslide, public
disturbance, vandalism, or failure that causes damage to a
university-owned building or structure, university-owned real
property, or any improvements thereon, when that work or those
remedial measures are required immediately and are necessary to
protect the public health, safety, and welfare.

(a) Where the nature of the work, in the opinion of the
Regents of the University of California, is such that the application
of all of the provisions of this chapter in connection with that
work is not required, and the cost of the project does not exceed six
hundred forty thousand dollars ($640,000), the regents shall solicit
bids in writing and shall award the work to the lowest responsible
bidder or reject all bids.
(b) (1) The Regents of the University of California shall
establish a procedure to qualify and rate a bidder for work to be
awarded pursuant to subdivision (a) when the cost of the project
exceeds three hundred thousand dollars ($300,000) but does not exceed
six hundred forty thousand dollars ($640,000).
(2) The procedures shall require a bidder to complete and submit a
qualification questionnaire. The qualification questionnaire shall
cover, at a minimum, the issues covered by the Model
Pre-qualification Questionnaire developed in 1999 by the Department
of Industrial Relations pursuant to subdivision (a) of Section 20101.
The procedures shall also require a bidder to complete and submit a
financial statement, unless the bidder is a contractor who has
qualified as a Small Business Administration entity pursuant to
paragraph (1) of subdivision (d) of Section 14837 of the Government
Code. A bidder who is required to complete and submit a qualification
questionnaire shall include the general contractor and, if utilized,
the electrical, mechanical, and plumbing subcontractor, except that
the nonqualification of a subcontractor shall not disqualify an
otherwise qualified contractor.
(3) Each campus or facility shall adopt and apply a uniform system
of rating a bidder on the basis of the completed qualification
questionnaire and, if available, financial statements to determine
the minimum requirements permitted for qualification to submit a bid.
Each campus or facility may process qualification questionnaires and
financial statements on a quarterly basis to qualify a prospective
bidder for a period of one calendar year from the date of
qualification.
(4) Upon award to the lowest responsible bidder, each campus or
facility shall publicly post on its Internet Web site a brief
description of the project and the awarded amount along with the name
of the contractor who is the lowest responsible bidder.

(a) The Regents of the University of California may perform
projects with university employees if the regents deem that the award
of a contract, the acceptance of bids, or the acceptance of further
bids is not in the best interests of the university, under either of
the following circumstances:
(1) The value of the project to be so performed shall not exceed
fifty thousand dollars ($50,000).
(2) The project is for the erection, construction, alteration,
repair, or improvement of experimental, diagnostic, or specialized
research equipment.
(b) This section does not apply to the painting or repainting of a
structure, building, road, or improvement of any kind if the value
of the painting or repainting project exceeds twenty-five thousand
dollars ($25,000).

The requirements of Sections 10501, 10502, and 10503 shall
not be applicable to (1) any project of which the Regents of the
University of California is only part owner, or (2) any project
funded by a federal agency to the extent that requirements of
Sections 10501, 10502, and 10503 are in conflict with mandatory
requirements of such federal agency, or (3) projects performed
pursuant to Section 10505.